Demystifying Customer Satisfaction Measurements

The DAR™, Explained

3Many companies struggle with understanding whether or not their customers are satisfied and deliberate over what to do about it. Even companies that have used customer satisfaction measurements, or have a loyalty program in place, have difficulty interpreting what to do with their data to improve the situation with customers. For example, if you have a customer that has provided a rating of 8 out of 10 on a feedback question, would you consider this a very satisfied customer because 8 seems like a high rating, or an unsatisfied customer because they didn’t give you a 10?

Furthermore, many are surprised to learn that high customer satisfaction is a necessary but not sufficient condition for customer retention. The critical issue is what actions or behaviors the customer is prepared to undertake, based on how they feel about your company. The ‘satisfied’ customer who gave you an 8 out of 10 rating may be exploring opportunities with your competition and preparing to leave.

This is the challenge with mainstream customer satisfaction measurements that either base results on single questions (such as “What is the likelihood you would refer Company X?”) or single question rating systems (such as “Please rate your satisfaction with this service aspect on a scale from 0 to 10”).

They do not take into account where your company sits in the marketplace relative to your competition (as perceived by your customers), or what a customer’s ‘scoring’ of your business actually means with respect to how they feel about your company, and their willingness to continue doing business with you.

DAR™ measures the strength of the bond between a customer and a company

The Dunvegan Affinity Rating™ (DAR™) is the Dunvegan Group’s proprietary measure of the strength of the bond between a customer and a company. It was specifically designed for the B2B environment, and formulated over the 20 years we have spent specializing in customer satisfaction and retention. It is the indicator that The Dunvegan Group’s clients rely on to strengthen their bonds with their customers, thereby increasing customer retention.

The DAR™ differs from many other measures of customer satisfaction because:

  1. It is determined by more than just one measure
  2. It involves a comparative measure regarding the competition, and
  3. It deals with the likelihood of undertaking certain actions rather than how a customer ‘feels’ about a company.

The DAR™ doesn’t just tell you whether customers are satisfied, it provides you with an indication of their intent to continue doing business with you, or not. This information is key in responding to customer retention issues (even those stemming from ‘satisfied’ customers) and guiding customer care standards of operation. The DAR™ is the only indicator that provides you with a competitive context for assessing your position relative to customer satisfaction and retention.

Raise the DAR™!

In our first year of working with a new client, we establish their baseline DAR™ then in subsequent years, we challenge them to “Raise the DAR™!” Every year, our data and insights assist them in improving customer experience and keeping satisfied customers. Their customer retention rates increase, employees feel increasingly less friction with customers, and the improved customer relationships reflect positively on the bottom line.

Learn More

The DAR is the leader of customer satisfaction measurements.

For a detailed explanation of  The DAR™, please fill in the form below to request your copy of “The DAR™: The Platinum Indicator of Customer Retention.” If you would like to review how The DAR™ works and how it can be implemented in your organization to improve customer satisfaction and customer retention, please contact us.